CHT vs PHI: Which Is the Better Buy in 2026?
Last updated August 2026
Short answer
CHT is the larger of the two ($32.85B market cap): the incumbent the market prices for continued execution (27.00x forward earnings, beta 0.12). PHI is the smaller challenger ($4.33B), cheaper on forward earnings (7.46x): more room to run, but more to prove. The real question is which set of drivers you believe, and whether owning one (or both) leaves you over-concentrated.
CHT vs PHI: the tie-breaker metrics
Same yardstick, side by side (as of August 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.
| Metric | CHT | PHI | What it tells you |
|---|---|---|---|
| Market cap | $32.85B | $4.33B | Size. The larger name is the incumbent; the smaller has more room to grow and more to prove. |
| Forward P/E | 27.00 | 7.46 | Valuation on next year's expected earnings, the same yardstick for both. Lower is cheaper for that growth; higher means the market is paying up. |
| Trailing P/E | 27.14 | 9.32 | Valuation on the last 12 months. A big drop from trailing to forward means the market expects earnings to jump, so more growth is already in the price. |
| Beta | 0.12 | 0.29 | Volatility vs the market. Above 1 swings harder than the index; below 1 is steadier. Higher beta means bigger drawdowns to hold through. |
| Price vs 52-week range | 43% of range | 40% of range | Where today's price sits between the 52-week low and high. Near the high is momentum with less margin of safety; near the low is out of favor or a discount, depending on why. |
| Price / book | 11.02 | 2.11 | How much you pay over book value. Very high can signal an asset-light, high-return business or a rich price. |
Reading it: PHI is the cheaper of the two on forward earnings, but cheaper is not the same as better. Pair the valuation with growth (how far the forward P/E sits below the trailing P/E) and risk (beta) before you decide.
Before you buy: how CHT and PHI affect your concentration
The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. CHT and PHI share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.
This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined CHT and PHI exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.
What does Chunghwa Telecom (CHT) do?
Chunghwa Telecom runs the physical communications backbone of Taiwan. Descended from the state telecom administration and privatised in stages beginning in 2000, it still carries roughly a third government ownership and remains the largest operator in every segment it competes in: mobile subscribers, fixed voice lines, fibre broadband, submarine cable capacity and enterprise data centres. Management reports through four segments (Consumer, Enterprise, International and Others), and the shape of the business has shifted over the past decade from voice minutes toward broadband speed tiers, 5G plans, internet data centre capacity, cloud and cybersecurity contracts, and information and communication technology projects for government and corporate customers. Employment sits near ~32,600 people, and July 2026 revenue of NT$19.88B was a record for that month.
What does PLDT (PHI) do?
PLDT Inc. is the largest integrated telecommunications company in the Philippines, running a mobile network under the Smart and TNT brands, the country's biggest fixed-line and fiber broadband footprint, an enterprise and data-center arm (VITRO), and a minority stake of roughly 44% in Maya, one of the Philippines' leading digital banks and payment platforms. Data and broadband now account for roughly 86% of service revenues, up from roughly 85% a year earlier, which is the clearest signal of how far the business has shifted away from legacy voice and SMS. The company reports in Philippine pesos: first-quarter 2026 gross service revenues were ~PHP 54.9 billion (up ~3% year over year), consolidated revenues were ~PHP 56.5 billion, and reported net income was ~PHP 8.9 billion, slightly below the prior year as operating costs rose faster than the top line.
CHT vs PHI: how do they differ?
Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.
- CHT drivers: Fibre and 5G ARPU migration; Enterprise ICT, data centres and cloud.
- PHI drivers: Data and broadband mix shift; Capex discipline and deleveraging.
Which fits which kind of investor
A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: Currency is the risk most US holders underestimate: earnings, dividends and the underlying share price are all in New Taiwan dollars, so a weaker TWD reduces dollar returns regardless of operating performance. For PHI, the single largest risk for a US-based holder is currency: PLDT earns and declares dividends in Philippine pesos, so a weaker peso against the dollar shrinks the dollar dividend and the ADR price even when the underlying business is unchanged.
CHT or PHI: which should you pick?
Growth-minded investors who believe the theme has years to run tend to accept the richer multiple for more upside; value-minded investors lean toward the cheaper forward earnings and steadier profile. Pick CHT if you believe its drivers more; PHI if you believe its. Many investors hold both, but since they share themes, that is a concentrated bet, not diversification. Decide deliberately and check overlap. For the full detail, see the CHT and PHI guides.
CHT vs PHI: the full fundamentals
CHT. Pricing near ~26x earnings for ~2.7% revenue growth looks expensive against US carriers, which trade closer to the high single digits or low teens, and the premium reflects Chunghwa's net cash position, ~20% operating margin and near-utility earnings stability rather than any growth expectation. Screeners frequently show a payout ratio above 800% for CHT; that figure is a units artifact from comparing a USD dividend against a TWD earnings per share, and the real payout sits near or slightly above 100% of reported EPS while remaining covered by free cash flow of roughly ~$1.67B. Anyone comparing CHT to a domestic telecom should adjust for the fact that its P/E, yield and price all embed a currency translation that has nothing to do with the operating business.
PHI. PLDT reports in Philippine pesos and the ADR is quoted and paid in US dollars, so every figure above translates at roughly PHP 57 to the dollar in 2026 and moves with that rate. On annualised core income of roughly PHP 36 billion, the ADR trades at a high single-digit price-to-earnings multiple, low against global telecom peers and consistent with how the market prices emerging-market currency and regulatory risk. Net debt of ~PHP 282 billion and net debt to EBITDA near ~2.5x are the balance-sheet figures that set the ceiling on how much of that cash flow reaches shareholders.
Headline figures (approximate, August 2026): CHT shows revenue (ttm) ~$7.70B (~NT$236B for FY2025), net income (ttm) ~$1.24B, ~16.1% net margin, eps (ttm, per ads) ~$1.60 (~NT$4.98 per ordinary share), market cap ~$32.8B, ~775M ADS outstanding; PHI shows revenue (ttm) ~PHP 220 billion (~$3.9 billion), q1 2026 net income ~PHP 8.9 billion (~$155 million), 2026 ebitda guidance ~PHP 111 billion, margin ~52%, 2026 capex guidance ~PHP 53 to 57 billion, ~25% of revenue.
The bottom line: CHT vs PHI
CHT and PHI are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined CHT and PHI exposure against your real portfolio. It is not an investment adviser.
Wondering how CHT or PHI fits the portfolio you already own? Walnut is an AI investing app that connects your brokerage read-only and answers questions like that about your actual holdings: overlap, concentration, and how each position tracks the S&P 500. Compare the best AI portfolio analyzers or see the best AI investing apps in 2026.
Investing in Chunghwa Telecom with AI
Connect the broker you already use and ask Walnut's AI how CHT fits what you actually hold: whether you own it already through a fund, what it would do to your concentration, and how it has tracked the S&P 500. Read-only by default, and you approve anything before it reaches your broker.
FAQ
What is the difference between CHT and PHI?
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Chunghwa Telecom runs the physical communications backbone of Taiwan. PLDT Inc. They show up together because they share investment themes, but they are different businesses, so the better fit depends on which thesis you are expressing.
Is CHT or PHI the better stock?
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Neither is universally better. CHT is the larger incumbent; PHI is the smaller challenger and looks cheaper on forward earnings. Walnut is informational, not investment advice. Compare what each does, the tie-breaker metrics above, and the risks, then decide which fits your thesis and what you already own.
Which is cheaper, CHT or PHI?
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On forward P/E (as of August 2026), CHT trades at 27.00x and PHI at 7.46x, so PHI is the cheaper of the two on next year's expected earnings. A lower multiple is not automatically the better buy: a richer valuation can be justified by faster growth, and a lower one can reflect real risk. Weigh the multiple against how fast each business is compounding.
Should you own both CHT and PHI?
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Because they share themes, owning both concentrates you in that theme. That can be intentional (a focused bet) or accidental (less diversification than it looks). Walnut can show your combined exposure across both, and whether adding either over-concentrates you, before you buy.
What are the risks of CHT vs PHI?
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CHT: Currency is the risk most US holders underestimate: earnings, dividends and the underlying share price are all in New Taiwan dollars, so a weaker TWD reduces dollar returns regardless of operating performance. Geopolitical exposure is concentrated and unhedgeable, because effectively all of the network, the customer base and the revenue sit on a single island whose political status is contested by the People's Republic of China; a military or blockade scenario would impair the assets themselves, and the 2021 NYSE delisting of China Telecom is a reminder that US listings of Asian telecoms can be terminated by policy rather than by economics, even though nothing comparable is pending for Chunghwa. Taiwan's National Communications Commission regulates tariffs and merger conditions, which caps pricing power in a consolidated market. Taxation is a second drag: Taiwan withholds ~21% on dividends to non-resident holders, Taiwan and the United States have no conventional bilateral income tax treaty (legislation providing treaty-like relief has been under consideration in Congress rather than long settled), and US holders have generally relied on the foreign tax credit instead of a reduced treaty rate. Finally, roughly a third government ownership means state policy objectives, including universal service and national digital programmes, can influence capital allocation in ways that a purely commercial board would not choose. PHI: The single largest risk for a US-based holder is currency: PLDT earns and declares dividends in Philippine pesos, so a weaker peso against the dollar shrinks the dollar dividend and the ADR price even when the underlying business is unchanged. Competitive intensity in Philippine mobile and broadband has compressed pricing, and the country's three-player mobile market plus fixed wireless entrants leave limited room for tariff increases. Leverage is meaningful at ~PHP 282 billion of net debt and roughly ~2.5x net debt to EBITDA, which means the dividend, the capex plan and the debt paydown all compete for the same cash flow; a cost or capex overrun pressures one of the three. Capital spending has historically been a source of governance surprise at PLDT, and any repeat would hit both cash flow and credibility. Regulatory and political risk in the Philippines, foreign ownership rules, and the ADR structure itself (Philippine withholding tax on dividends, depositary fees, and lighter US disclosure than a domestic filer) add further layers a domestic telecom holding would not carry.
Walnut is informational, not investment advice. This page is descriptive and not a recommendation to buy or sell CHT or PHI; figures are approximate and dated (as of August 2026). Verify current data before investing.